Sinclair (William) Holdings PLC Refinancing of Borrowing Facilities (8775X)

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RNS Number : 8775X

Sinclair (William) Holdings PLC

16 January 2014

WILLIAM SINCLAIR HOLDINGS PLC

("William Sinclair", the "Company" or the "Group")

Refinancing of Borrowing Facilities

William Sinclair, one of the UK's leading suppliers of growing media, is pleased to announce that it has successfully refinanced its seasonal working capital funding through a facility of up to GBP25 million and will shortly complete a further facility for property finance in the form of a five year term loan of GBP3 million. These facilities are both provided by the Royal Bank of Scotland Group.

The working capital facility bears interest at approximately 2% above base rate, is subject to certain availability adjustments related to the asset base and seasonality of the Company, and is committed for a minimum initial term of two years, following which it is terminable at six months notice by either party. The property loan bears interest at approximately 3% above base rate, and is expected to be available for drawdown shortly. It is repayable by quarterly instalments over a period of five years or out of the proceeds on the settlement due from Natural England in respect of the Bolton Fell peat bog claim. The facilities are subject to certain conditions subsequent, and carry financial and other covenants.

The full availability of these facilities to the Company is subject to the approval by shareholders in a general meeting of an amendment to the articles of the Company to increase its permitted borrowings. A circular convening a general meeting to consider this matter, amongst others, will be sent to shareholders shortly and a further announcement made at that time.

Commenting on the completion of the refinancing Peter Rush, CEO said :

"The completion of this refinancing, which increases our total borrowing facilities significantly, positions the Company to deliver the Board's objectives of greater operational efficiency, scale and growth. We are pleased to have found in RBS a supportive partner for the next phase of William Sinclair's development."

For further information:

www.william-sinclair.co.uk

 
 William Sinclair Holdings            Tel: 01522 780223 
  Plc 
 Peter Rush, CEO                      Tel 07741 249461 
 Peter Williams, Finance              Tel: 07710 982577 
  Director 
 Mark Way, Corporate Communications   Tel: 07786 116991 
 
 
 WH Ireland Limited 
 Andrew Kitchingman   Tel: 0113 394 6600 
 Nick Field           Tel: 0207 220 1666

This information is provided by RNS

The company news service from the London Stock Exchange

END

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